Matildas coach Alen Stajcic said his side are more than capable of winning their first medal in Rio de Janeiro this year.
A fourth win in as many matches in the notoriously tough Asian qualifying region saw the Matildas end a 12-year drought against the side that kept them out of the past two Olympics.
Michelle Heyman and Katrina Gorry scored in each half, either side of a Kim Su Gyong goal which briefly drew the two sides level in a tough match that occasionally threatened to boil over.
Australia will be joined in Rio by China, who they will play in Wednesday’s inconsequential final-round match, while London 2012 silver medallists Japan suffered shock elimination.
Stajcic says the Matildas, whose best achievement was a quarter-final finish at Athens 2004, are in the hunt for silverware in Rio.
“Our goal is not just to qualify for Rio, but to get a medal, and we are aiming for a gold medal,” said Stajcic.
“I said before we left that whoever qualifies through Asia is a medal chance. This group is capable of doing anything.”
Stajcic said his side, which was eliminated at the quarter-finals at last year’s World Cup, has grown over the course of the Asian qualifying tournament.
“The thing we have seen this week is this group mature,” he said.
“We always had the weapons in attack, but now we have shown we have maturity, composure, hard work, discipline and commitment, and I think we have the makings of a world class team.”
Australia, which only needed a draw to qualify on Monday, was pushed all the way by a North Korea which needed a win to keep alive its hopes of reaching a third successive Olympics.
“The players were so nervous today and over the weekend,” said Stajcic of his side.
“North Korea had a lot of rhythm and play, but somehow with sheer guts and determination (we won).
“The willpower and heart and spirit of this team is something I have never seen before.
“Australians just have to be proud this team, because it is a historic moment for football and women’s football in particular.”